Week 29 - 2024
MALAYSIA'S EXPORTS UP 1.7% YEAR-ON-YEAR IN JUNE 2024, SLOWER THAN EXPECTED
The Sun & The Edge, 19/07/2024
Malaysia’s exports grew at a much slower than expected pace in June 2024 from a year earlier, driven largely by shipments of machinery and natural gas, while deliveries of key electronics contracted, official data on Thursday showed. Exports totalled RM126.05 billion in June 2024, an increase of just 1.7% against RM123.94 billion in June 2023. Gross imports in June 2024, however, grew 17.8% from a year earlier to RM111.76 billion. Inbound deliveries of intermediate goods — such as automotive parts and electronic component — soared 37%. Capital goods imports increased 24%, while consumption goods were up 14%. Total imports surged 15% y-o-y in the second quarter. Trade surplus more than halved to RM14.29 billion in June 2024, making it the 50th consecutive month of surplus since May 2020, from RM29.07 billion in June 2023. On a month-on-month basis, exports were down 1.6%, and imports shrank 5.4%. Trade surplus, however, expanded 44% in June 2024 when compared to May 2024.
REHDA CALLS FOR BUILDING INDUSTRY TO BE EXCLUDED FROM PAYING HRD CORP LEVY
The Edge, 17/07/2024
Real Estate and Housing Developers’ Association Malaysia (REHDA) has called for building industry players to be excluded from paying the levy imposed by the Human Resource Development Corp (HRD Corp). The request came following concerns over HRD Corp, which has been in the spotlight after a slew of issues was flagged by the Public Accounts Committee (PAC) and the Auditor General, including suspicious disbursements, dubious property deals and risky investments. The building industry is governed by the Construction Industry Development Board (CIDB), which collects a 0.125% levy on the total value of construction work for training and development purposes, as per the amended CIDB Act 1994 (Act 520). In addition to the CIDB levy, related industry players — architects, engineers, quantity surveyors, town planners and land surveyors — are already obligated to pay annual renewal of registration fees and are subject to compulsory learning and training under the Continuing Professional Development programme. Since the expansion of the Human Resource Development Fund Act 2001 (Act 612) in 2021, a further 1% of employees’ monthly wages is mandatorily paid to HRD Corp. REHDA is of the view that the HRD Corp levy is one of the many contributing factors to increasing construction costs, and as such, industry players need to be exempted, and the situation has to return to how it was prior to 1 March 2021.
VESTLAND TO ACQUIRE OFFICE SUITES, WAREHOUSES FOR RM25 MILLION
The Edge, 17/07/2024
Construction company Vestland Bhd is acquiring office suites in Selangor and industrial warehouses in Sabah, for a total of RM25 million. Vestland wholly owned subsidiary Vestland Resources Sdn Bhd had signed 10 sales and purchase agreements (SPAs) with Sg Besi Construction Sdn Bhd for the acquisition of 10 office suites at Subplace Boulevard, Shah Alam, Selangor, for RM6.99 million. Upon completion of the proposed acquisition, the group will no longer incur RM20,934 in monthly rental commitment and will have better planning and control over the usage of the offices to cater for its business growth. In addition, Vestland also signed six SPAs for a sum of RM18 million to acquire six semi-detached industrial warehouses to be constructed at Armani Business Park, Kota Kinabalu, Sabah, with completion expected by December 2024.
PTTS ACQUIRES TWO PIECES OF LAND FROM SIME DARBY PROPERTY FOR RM22 MILLION
The Star, 17/07/2024
PTT Synergy Group Bhd (PTTS) has entered into sale and purchase agreements with Sime Darby Property (Serenia City) Sdn Bhd and Sime Darby Property (Ampar Tenang) Sdn Bhd for the acquisition of two pieces of land with for a total cash consideration of RM22 million. Both lands have semi-detached factories on them. The proposed acquisitions are expected to be completed within 36 months from the date of the sale and purchase agreements.
SINGAPORE'S SCOOT CONFIRMS FLYING TO SUBANG FROM 1 SEPTEMBER AS TICKET SALES LAUNCHED
The Edge, 18/07/2024
Singapore's low-cost carrier Scoot has announced that it will be launching daily flight from the country to Subang Airport from 1 September 2024. Scoot would be one of the two foreign airlines flying out of Subang Airport once the aircraft operations resumed at the airport. Scoot has started selling the flight tickets from Singapore to Subang from its website, mobile app and progressively through other channels.
Scoot will continue flying to Kuala Lumpur International Airport (KLIA) Terminal 2 as well as Ipoh, Kota Kinabalu, Kuantan, Kuching, Langkawi, Miri, Penang and Sibu. It will operate 110 weekly flights to Malaysia by September 2024. The other foreign carrier that will be flying out of Subang Airport is Indonesia's PT TransNusa Aviation Mandiri (TransNusa). The Indonesian carrier had started selling flight tickets from Subang to Jakarta. Other airlines that have confirmed flying out of Subang include FlyFirefly Sdn Bhd (Firefly), Batik Air Malaysia Sdn Bhd and AirAsia Malaysia, a unit of AirAsia Aviation Group (AAG).
IJM LAND’S NOVA LANDED HOMES IN SEREMBAN 2 GARNERS 70% TAKE-UP
The Edge, 18/07/2024
IJM Land Bhd’s landed residential development — Nova, which is part of its 3,800-acre Seremban 2 township, has been 70% taken up since it was launched on 29 June 2024. Spanning 32.24 acres, the RM154 million Nova features 162 homes of which 64 are semi-detached houses, 5 bungalows and 4 bungalow lots. The built up area of the semi-detached houses is 3,370 sq. ft. while the land area is between 3,601 sq. ft. and 7,580 sq. ft. Prices for the semi-detached units start from RM1.97 million. The built up areas of the bungalows are from 4,247 sq. ft. to 4,463 sq. ft. while the land areas are from 6,088 sq. ft. to 7,888 sq. ft. and the units are priced from RM3 million. The bungalow lots are from 14,400 sq. ft. to 14,975 sq. ft., with prices starting from RM686,800. All the units at Nova will be equipped with smart home features such as digital smart door locks and pre-installed wiring points for CCTV. Within the residential development, there will be outdoor fitness zones, a basketball court and a 3km jogging path. There will also be a Community Villa featuring a swimming pool, event spaces for events and gatherings plus dedicated areas for yoga and community gardening. Nova is accessible via major highways such as the North-South Expressway and the Seremban-Port Dickson Highway.
SUNGAI BAGAN IBS INDUSTRIAL PARK TO BE FULLY COMPLETED BY MARCH 2025
The Edge, 17/07/2024
The first phase of Sungai Bagan Industrialised Building System (IBS) Industrial Park in Machang Kelantan which spans over 197.68 acres, is expected to be fully completed by March 2025. The development of the first phase, which began on 15 Aug 2022, is being undertaken by the Kelantan State Economic Development Corp, encompassing infrastructure for 47 industrial lots, 60 commercial lots and one IBS centre of excellence. The current progress of the first phase has reached over 50%, with all 47 industrial lots sold. The completion is expected by 4 March 2025.
GD GROUP LAUNCHES SIKAMAT INDUSTRIAL PARK IN NEGERI SEMBILAN
The Edge, 18/07/2024
Property developer GD Group has ventured into industrial park development, launching the Sikamat Industrial Park in Vision Valley 2.0, Negeri Sembilan. The development project focuses on environmental, social and governance (ESG) principles, advanced infrastructure and a commitment to sustainability. It also seeks to foster international collaboration and economic growth through a strategic partnership with Foshan, China. The development includes 20 semi-detached factory units and 40 double-storey commercial shop lots.
SELANGOR HAS HIGHEST NUMBER OF ABANDONED HOUSING PROJECTS
The Star, 19/07/2024
A total of 114 projects covering 29,407 housing units and 15,948 private housing buyers have been declared abandoned as of 31st May 2024, said Housing and Local Government. These projects were classified as abandoned according to the Housing Development (Control and Licensing) Act 1966 (Act 118). The state with the highest number of abandoned projects were Selangor with 42 projects, followed by Kelantan (19), Terengganu (15), Johor (nine), Pahang (eight), Perak (five), Kuala Lumpur (six), Kedah (three), Negri Sembilan (three), Penang (three), Melaka (one). In Selangor, the 42 projects involved 16,610 constructed units and 8,226 sold units, while in Kelantan, there were 19 projects involving 1,149 constructed units and 1,071 sold units. In Terengganu, the 15 abandoned projects involved 1,767 constructed units and 1,457 sold units, while there were nine projects in Johor with 4,638 constructed units and 2,487 sold units. For Pahang, the eight abandoned projects involved 1,161 constructed units and 807 sold units and in Perak, the five abandoned projects involved 1,375 constructed units and 557 sold units.
There were six abandoned projects in Kuala Lumpur, involving 1,345 constructed units and 832 sold units, while there were three abandoned projects in Kedah, involving 755 constructed units and 74 sold units. Meanwhile, in Negri Sembilan, the three abandoned projects involved 389 constructed units and 344 sold units. In Penang, the three abandoned projects involved 139 constructed units and 85 sold units while in Melaka, there were only one abandoned project, involving 79 constructed units and eight sold units. The National Housing Department classified abandoned projects into three categories - projects under planning, revived projects, and static projects. Projects under planning were abandoned projects that were planned to be revived by stakeholders, revived projects are those which restoration works have commenced, and static projects are those that are not viable to be revived, Presently, there are 50 projects that are being planned, 50 projects that are being revived and 14 static projects. The restoration of abandoned projects takes between one to five years, subjected to the complexities of the projects such as court orders, developers’ ability and among others. The Housing and Local Government Ministry will continue carrying out various initiatives to ensure Malaysians have access to quality and affordable housing.
LBS BINA LAUNCHES IMPERIAL GARDEN IN BATU PAHAT, JOHOR
The Edge, 17/07/2024
LBS Bina Group Bhd (LBS) unveiled a double-storey semi-detached development called Imperial Garden located at Bandar Putera Indah in Batu Pahat, Johor. The 37.11 acre freehold development will be developed in six phases. The four bedroom and three bathroom units will have a built-up area of 1,829 sq. ft. and will be priced from RM575,280. The first phase, which consists of 30 semi-detached houses, is open for sale, while the second phase (33 units) will be launched next month.
HAILY WINS RM76.65 MILLION HOUSING JOB IN JOHOR
The Star & The Edge, 19/07/2024
Builder Haily Group Bhd has secured a RM76.65 million contract to construct 171 units of link houses in Kempas Baru, Johor Bahru. Haily’s wholly owned subsidiary, Haily Construction Sdn Bhd, has accepted a letter of award issued by Razin Architects Sdn Bhd on behalf of Kews Senibong Sdn Bhd. The project will be executed in two phases. The first phase, commencing on 16th July 2024 and is expected to be completed by 15th October 2025. The second phase will start within nine months from the commencement date of the first phase and is expected to be completed within 22 months.
BERJAYA LAND UNVEILS PREMIUM LANDED DEVELOPMENT IN GEORGE TOWN, PENANG
The Edge, 17/07/2024
Berjaya Land Development Sdn Bhd unveiled a premium landed residential development called Jesselton Courtyard at Jesselton Selatan located in George Town, Penang. The project has an estimated gross development value of RM862.7 million.
Berjaya Land Development is wholly owned by Berjaya Hartanah Bhd, which is a subsidiary of Berjaya Land Bhd. The 11.908 acre freehold Jesselton Courtyard at Jesselton Selatan will consist of a total of 239 houses — 32 units are four-storey Courtyard Homes and the remaining 207 units are 1.5 and 2 storey Courtyard Villas. The Courtyard Homes will have a built-up area from 6,649 sq. ft. and the selling price starts from RM6.47 million, while the Courtyard Villas are sized from 2,734 sq. ft. with a starting price of RM2.87 million. Each unit will come with 4 to 7 car park spaces. The development is situated next to Penang Turf Club and Kensington Gardens. Some nearby amenities are schools, restaurants, shopping centres and healthcare facilities.
CHIN HIN UNVEILS CROWN PENANG RESIDENTIAL DEVELOPMENT
The Edge, 15/07/2024
Chin Hin Group Property Bhd unveiled its first development in Penang called Crown Penang. The residential project is jointly developed by its subsidiary Stellar Platinum Sdn Bhd, Thirupathi Capital Sdn Bhd, and Ivory Meadows Sdn Bhd, which is a wholly owned subsidiary of Ivory Properties Group Bhd. The 2.0 acres freehold Crown Penang is situated on Jalan Seri Tanjung Pinang 1. It comprises 588 residential units, with built-up area ranging from 614 sq. ft. to 1,851 sq. ft. and the units are priced from RM704,000 per unit. Residents will have access to a range of facilities such as a sky lounge, gymnasium, swimming pool, sky park, games room, playground, and zen garden.
